Ex-staff of M.J. Harris Group allege boss Mike Harris owes them thousands in unpaid wages
Ex-staff of Melbourne renovation company M.J. Harris Group say they were sworn at and have been left chasing thousands of dollars in wages – with explosive texts from the boss now revealed.
Business
Don't miss out on the headlines from Business. Followed categories will be added to My News.
Shocking claims have emerged from former staff of a high-end Melbourne home renovator, alleging they’re owed thousands in unpaid wages and were subjected to foul-mouthed language.
Melbourne home renovation company M.J. Harris Group, owned by director Michael Harris, is a fully integrated design and construction company, focused on “delivering Melbourne’s finest home restoration services”.
News Corp has spoken to several former employees of the builder that allege they have been chasing Mr Harris for the thousands of dollars they are owed in wages, superannuation and entitlements, and were sworn at regularly, including one instance where a worker was called a c***.
Text messages provided to this masthead show exchanges reportedly between Mr Harris and his staff where he apologised for using the ill language.
“Sorry I didn’t mean to call you the C word,” one message reads.
Others show Mr Harris reportedly swearing at employees for works he wasn’t happy with.
“Why the f*** is curtain installer here? Windows haven’t been cleaned!!!,” one message reads.
“Oh great! This is f****d. Do not contact (removed)! I’ll have to deal with this. I honestly don’t understand how you didn’t learn from (removed)?” another reads.
Mr Harris denied allegations that his company had a toxic working environment and says he has been in regular communication with former staff to settle outstanding wages and entitlements.
One ex-employee, who took a MJ Harris Group company to Federal Court where it was ordered to pay just under $10,000 in wages and annual leave, says even after legal action, he is yet to receive a cent.
It comes as two businesses under the group, which narrowly escaped collapse after striking a deal with creditors, have now plunged into liquidation after the companies failed to keep up with repayments.
Appointed liquidator Rajiv Ghedia of Westburn Advisory said he issued three default notices over the past year after the companies failed to meet payment deadlines, a new document lodged with the corporate regulator reveals.
He said the companies were unable to meet a payment of $48,286 due by January this year, even after issuing a notice, leading to both being wound up.
Mr Ghedia now plans to ask the court for permission to take control of a property owned by Mr Harris’s wife and sell it at public auction.
The obligations to meet payments under the deal were secured by way of mortgage over a Melbourne property owned by his spouse.
“The value of the security is the outstanding superannuation entitlements, estimated to total $1,309,735, comprising of $516,374 for (one company) and $793,361 for (the other),” Mr Ghedia said.
News Corp previously revealed subsidiaries, 617 503 483 Carpentry, which traded as M.J. Harris Carpentry, and 159 787 783 Painting, which traded as M.J. Harris Painting, entered administration last year.
Unsecured creditors owed over $7.1m from the collapses, including millions owed to the Australian Taxation Office, were forced to swallow a rescue deal, settling for just 5c on the dollar.
At the same time, related-party loans totalling close to $770,000 owed to Mr Harris and M.J. Harris Group was repaid at 50c on the dollar.
M.J. Harris Carpentry and M.J. Harris Painting collapsed owing $556,263 and $209,157 to employees respectively.
Part of the deal struck with creditors was that this would be paid out in full.
In his report to creditors of M.J. Harris Carpentry, Mr Ghedia said the company had failed to make appropriate provisions to meet statutory debts due to the tax office with an “element of recklessness”, had poor bookkeeping, an outstanding director loan and had failed to register certain vehicles in the name of the company.
The liquidator also alleged the company had traded while insolvent from June 2020.
“There is a maximum potential claim against the director for insolvent trading of up to $5,432,230, being the total known outstanding superannuation and ordinary unsecured creditors’ claims less related party creditors’ claims as at the date of this report,” he alleged.
One former employee, who worked as a carpenter for six years from 2018 to 2024, took M.J. Harris Carpentry & Restorations, another subsidiary under the group, to court over nearly $10,000 worth in unpaid wages and annual leave.
The Federal Circuit and Family Court of Australia ordered the company to pay the ex-employee the full amount in April this year, court documents reveal.
But the worker says he is still yet to receive a cent.
News Corp has seen email correspondence between the employee and Mr Harris where the business owner says he is “just waiting on funds” to be able to pay his wages, and complained of “cash flow” issues.
Another ex-employee said he was owed over $7000 in wages and another $7000 in superannuation.
“I have not been paid for the works you have had me do,” correspondence from the worker to Mr Harris reads.
“This means to live like everyone else in the world I have had to use all of my savings and borrow money off my family members to keep up a roof over my head.”
Another worker, who resigned in January this year, said she is still yet to receive any of the $6000 in unpaid wages and superannuation she is owed.
This is despite correspondence between her and Mr Harris in March where he allegedly tells her “cash flow is trending in the right direction” and he should be able to make a payment next week.
“I’ve waited over five months, contacted the business owner Mike Harris who constantly makes up false timelines/dates and now has completely ignored all forms of contact,” the employee told News Corp.
She claimed there was a “toxic culture” where the director “picked and chose who to pay”.
“Always making excuses that ‘money was tight for the week’. A mind game where staff never knew where they stood or if they would be paid,” she said.
“Subcontractors and suppliers were never or hardly paid, which led to heated confrontations in the office – which was definitely understandable however it created a high-tension working environment for staff.”
Mr Harris told News Corp the liquidator of the two collapsed companies was working with the employees to “ensure they get payment”
“We are in regular communication with many ex staff and have been making multiple progress payments towards bringing any outstanding wages and entitlement up-to-date,” he said.
“I am deeply sorry for the situation that has caused grief to any employees. I value their time at the company.
“I continue to wake up every day to keep going to ensure I can work down any debt owed.”
He said he didn’t believe M.J. Harris Group had a “toxic work environment”.
“I believe that the employees enjoyed working in M.J. Harris until the downturn of the business taking advantages of all the perks that came along working at the company,” he said.
“I believe the staff you are referring to are the same staff who lodged WorkCover claims for the same allegations to cash in the businesses downfall.
“WorkCover investigated both claims thoroughly and they were both rejected.”
More Coverage
Originally published as Ex-staff of M.J. Harris Group allege boss Mike Harris owes them thousands in unpaid wages
Early colonial coin with $90k price tag leads historic auction
Australia’s earliest and most rare coins and colonial currency - including our first-ever half sovereign and an 1813 Holey Dollar with a $90,000 price tag - are up for auction this week.
Read more
Super Retail boss parts with some of his shareholding
Super Retail CEO Anthony Heraghty, who is defending allegations he conducted a secret affair with his former head of HR, Jane Kelly, has ceded ownership over $2.65m of shares.
Read more